Indian Retail Jewellery

8/3/2019 Indian Retail Jewellery

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Indian Retail Jewellery

India is one of the largest Jewellery markets.

97% of Jewellery sales are by Family jewellers

Change in the demographics and increased consumerism of Indianretail market.

Organized retail is growing at a rapid pace across all sectors.


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Major Segments

Gold Comprises around 80% of Indian Jewellery Market

20% comprises fabricated studded jewellery

High level of manufacturing and domestic Consumption.

Diamonds

Worlds largest cutting & polishing industry

India is the largest consumer of gold and also the largestdiamond processor .

Well supported by the banking sector andgovernment policies


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MARKET SIZE

Indian Jewellery market Rs. 80,000 Crore billion in the year 2005

8.3 per cent of world Jewellery sales.

Annual growth rate of 15%.

Largest consumer 20% of global consumption.

Organised Sector is Rs 2400 Crore Unorganised sector.

Market for branded jewellery will be

worth $2.28 Billion by 2010.


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Jewellery Retail Market

Reliance Retail is planning an aggressive entry into the jewellery

retail market through its about 400 to 500 jewellery retailoutlets across the country.

DDamas India, part of one of the largest jewellery retail outlets

in the world, is adding 16 new stores to its presentdozen stores in India.

Swarovski, the global crystal goods manufacturer and marketerplans to set up 30 stores by 2009, from the current 13.

The Gitanjali Group bought 'Nakshatra', thepremium brand ofjewellery promoted by Diamond Trading Company


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Changing Scenario

Jewellery For Investment

Traditional Ethnic and ChunkyDesign

Unbranded, From Familyjeweller

Marriage and Festival Seasonas a Pick Season

Branded

Jewellery For Fashion

Fashionable, Light weight andInnovative Design

Wearability and Gift Spreadingthe Demand Through the Eye

Jewellery Being Sold on a PerPiece Basis

Jewellery Sold on CommodityBasis With Labor Charges

TodayYesterday


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EXPORTS

During 2008-09, 1.45 percent growth.

Exported US$ 20.8 billion in 2007-08.

Growth of 9 percent in this year. India accounts for 50 percent of the international market.

Government allows 51 percent FDI in single brand retail outlet.


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MAJOR PLAYERS

Gitanjali

Tanishq

Agni Orrah

Cygnus


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Business Overview

Established in 1986. Bought 'Nakshatra', the premium brand of jewellery promoted by

Diamond Trading Company (DTC)

Approximately 1,246 retail outlets in India and143 outlets in the U.S. First luxury jewellery mall in Gurgaon.

Announced its foray into the luxury retail marketthrough a new entity Luxury Connexions'.


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Integrated Business Mode

Diamond processing

Jewellery manufacturing

Jewellery retailing in India Branded jewellery

International jewellery retailing

Samuels and Rogers

Gems & jewellery SEZs


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Retail

Among the first branded jewellery in .India

Strong sales and distribution112 distributors and 1,250 outlets.

Gili and Nakshatra - Superbrandsin 2004 by ICSE.


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Diversification

Gitanjali Lifestyles to focus on manufacture and distribution ofluxury and lifestyle products.

Developing 200 acres gems& jewellery SEZ in Hyderabad.

Plans to develop more SEZs focusedon gems & jewellery acrossIndia.

To partner for developing real estateinfrastructure.


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BrandStrongest and most aspirational brand in the jewellery CategoryAwarded most admired brand and Retailer of the year by ImagesFashion Enjoys a market share of over 40% in branded jewellery.

Indias only national jewellery retailer 115 stores in 70 towns prime

high street locations Many of these stores are run by franchisees

CustomerBase

Network

Over 15 million customers shopped at Tanishqlast year


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Challenges

Shortage in supply of Raw Materials

Changing fashion trends and increasedconsciousness of the

consumers competition from other luxury goods,declining investment in the

sector and increasing consumer sophistication.

Ethical Challenges

Local players

Indian Retail Jewellery

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